Louisville Metro Neighborhood Market Drill-Down

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					Louisville Metro Neighborhood Market Drill-Down

   WHY WE NEEDED THE STUDY...
    In 2002, while campaigning to become Mayor of Louisville Metro,
    Jerry Abramson heard from citizens across the city requesting needed
    neighborhood retail services, such as sit-down restaurants, grocery
    stores, and department stores, etc.
    After being elected, Mayor Abramson created a new component of
    Metro Government, focused on supporting and developing retail
    services in every neighborhood of the merged city – the Corridors
    Of Opportunity in Louisville program. COOL is administered by the
    Economic Development Department.
    The department has had significant success, from helping bring a new
    Kroger to the Portland neighborhood to the renovation of Westport Village
    as a shopping center with a town center atmosphere.
    COOL has assisted local businesses, such as Wick’s Pizza and Heine
    Brothers Coffee, to expand into new areas of town and it has worked
    with national chains, like PF Chang’s and Starbuck’s, to open new
    restaurants and stores in Louisville neighborhoods.
    Because national retailers predict the potential sales for a new location
    through the paper trail left by credit card usage, it is difficult for a national
    retailer to understand what opportunity exists for them in a neighborhood
    area in which a large or even dominant share of the goods and services
    purchased are purchased with cash. Thus, the Louisville Metro Economic
    Development Department commissioned the Louisville Drill-Down,
    conducted by Social Compact, to study these areas in more detail.
        The full study may be downloaded at:




        www.louisvilleky.gov/economicdevelopment
    WHAT THE STUDY SAID:
            (The Study area is largely west of Interstate 65 with additions including the
            neighborhoods of Smoketown, Preston, and Newburg.)
        •   There are 44,817 more people in the study area than documented
            in 2008 estimates for the same area
        •   There is an additional, and previously unreported, $1.1 billion
            undocumented cash economy in the study area, making the market
            for this area a total of $6.7 billion.
        •   The average income of new (2003-07) homebuyers in the study
            area is 10% higher than the average income for all residents in
            the study area.
        •   The study area is well served with full-service grocery stores. There
            are 67 groceries in the study area, which equals 2.5 grocery stores
            per 10,000 households. Some specific opportunities do exist.
        •   There are 133 banks and credit unions in the study area, totaling
            8.7 institutions per 10,000 households, and an average of .65 miles
            from home.
            (*Note: distance and “per 10,000 household” numbers vary by sub-zone within
            the overall study area)
   RELATIONSHIP TO THE RETAIL MARKET STUDY:
    The Drill-Down study area is only a portion of Louisville and should be utilized to augment





    the findings of the Retail Market Study for that specific geography.

    GOING FORWARD:
    Mayor Abramson’s COOL program and economic development staff will utilize this data to
    encourage new and expanding real estate and business investment by both local and national
    retail entities. It is expected that social service agencies, housing agencies, banks, and other
    agencies also will utilize the data to improve their service to clients.




                                                                                                    Jerry E. Abramson
                                                                                                    Mayor




                                                                                    C. Bruce Traughber, Director
                                                                                    John Fischer, Assistant Director
                                                                                    Economic Development Department
                                                                                    444 South 5th Street, Suite 600
                                                                                    Louisville, KY 40202
                                                                                    502.574.4140
                                                                                    www.louisvilleky.gov/economicdevelopment




    COLLEGE OF ADVISORS
    The following contributed funding: City of Louisville, Louisville Economic Development Department, Federal Reserve Bank of St
    Louis – Louisville Branch, Making Connections Louisville, Metro United Way, Community Resource Network, PNC Bank, Fifth Third
    Bank, and US Bank.

    The following contributed data: City of Louisville, Louisville Economic Development Department, Louisville Department of Codes &
    Regulations, Louisville Metro Police Department, Louisville Metro Public Protection Department – Criminal Justice Commission,
    Louisville Metro Finance Department, Louisville Metro Housing & Community Development, Louisville Metro Planning & Design,
    Louisville Metro Government Technology Services, Louisville Downtown Management District, Louisville/Jefferson County
    Information Consortium(LOJIC), Metropolitan Sewer District, Jefferson County Public Schools, Jefferson County Property Valuation
    Administrator, Louisville Water Company, E-on, Duke Energy, Kentucky Department of Revenue, Kentucky State Data Center,
    Greater Louisville Inc, Louisville Metro Housing Coalition, and the Louisville Realtors Association.

    ABOUT SOCIAL COMPACT
    Social Compact is a national not-for-profit corporation led by a board of business leaders whose mission is to help strengthen
    neighborhoods by stimulating private market investment in underserved communities. Social Compact accomplishes this through
    its Neighborhood Market DrillDown analytic tool, developed to accurately measure community economic indicators, and provides
    this information as a resource to community organizations, government decision makers and the private sector. Social Compact
    is at the forefront of identifying the market potential of underserved neighborhoods and promotes public private partnership involv-
    ing community members and leveraging private investment as the most sustainable form of community economic development.
    You can learn more at their web site: www.socialcompact.org